Question

A social security scheme has the following characteristics:

1. Any citizen of India, resident or non-resident, can become a member.
2. It has a Tier I account which is mandatory and Tier II which is optional.

Identify the scheme.

Options

• Provident Fund

• Gratuity

• National Pension Scheme

• Maternity benefits

Answer 1

National Pension Scheme

Explanation:

Anyone who is an Indian national, whether they live in India or not, can join the National Pension Scheme (NPS). For an NPS account, you have to open a Tier I account. Opening a Tier II account is not required, so the given answer is true.